Revision of Bonus to Rs. 7000 for the year 2014-15 – NFIR demands early payment of Bonus arrears – Bonus Act amendment was made with effect from 1st April 2014 recently
National Federation of Indian Railwaymen
3, CHELMSFORD ROAD, NEW DELHI – 110 055
Shri Suresh Prabhu,
Hon’ble Minister for Railways,
Sub: Amendment to payment of Bonus Act, 1965 –Revision of calculation of wages from Rs.3500/- p.m. to Rs.7000/- p.m. with effect from 01-04-2014 – Payment of P.L. Bonus to Railway employees at revised rate of Rs.7000/- p.m. reg.
Kind attention of Hon’ble MR is invited to the General Secretary, NFIR’s letter of even number dated 24-12-2015, copy enclosed.
The Ministry of Law and Justice (legislative Department) has since issued Gazette Notification on January 1, 2016, amending the payment of Bonus Act, 1965 as follows;-
(a) In section 12 of the Principle Act, for the words “Three Thousand Five Hundred Rupees” at both the places where they occur, the words “seven Thousand Rupees or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher” shall respectively be substituted.
(b) The Amendment shall be deemed to have come into force on the 1st day of April 2014.
With the issuance of Gazette Notification as stated above, the Bonus amount is required to be calculated @ Rs.7000/- p.m. w.e.f. 1st April 2014 and paid to the workers, Kind attention of Hon’ble MR is also invited to the decision of Union Cabinet and issuance of instructions thereafter by the Railway Ministry vide No.E(P&A)II-2008/PLB-10 dated 03/10/2008 revising the wage calculation ceiling from Rs.2500/- to Rs.3500/- w.e.f. 1st April 2006. Resultantly, the arrears amount towards productivity Linked Bonus at Rs.3500/- p.m. was paid to Railway employees during October 2008.
NFIR, therefore, requests the Hon’ble MR to kindly take initiative for arranging payment of P.L. Bonus at revised rate of Rs.7000/- p.m. for the year 2014-15 to Railway Employees at the earliest.